2026 FSA Contribution Limits Announced
The IRS announced the new limits on October 9, 2025.
Highlights of changes coming in 2026:
- FSA Contributions: Contributions to a healthcare flexible spending account have increased $100 to $3,400 – up from $3,300 in 2025.
- FSA Carryover Amount: If the employer allows for carry-over, FSA participants can now carry over $680 – up $20 from $660 in 2025.
- Transit & Parking Benefits: The monthly contribution limit on parking and transit benefits will increase to $340 – up from $325 in 2025.
- Adoption Assistance Program: The maximum exclusion for qualified adoption expenses under the adoption assistance program is now $17,670 – up from $17,280 in 2025.
- Dependent Care FSA Limit: The annual dependent care flexible spending account (FSA) contribution limit will increase to $7,500 – up from from $5,000 in 2025.
| Taxable Years Beginning in 2026 | Taxable Years Beginning in 2025 | |
| Limit on voluntary employee salary reduction contributions to a health flexible spending arrangement | $3,400 | $3,300 |
| Maximum carryover amount of unused FSA amounts | $680 | $660 |
| Monthly limit on fringe benefit exclusion for transit and parking | $340 | $325 |
| Maximum reimbursement from a qualified small employer health reimbursement arrangement | $6,450 ($13,100 for family coverage) |
$6,350 ($12,800 for family coverage) |
| Maximum reimbursement from a qualified dependent care flexible spending account | $7,500 | $5,000 |
The above chart does not include all the provisions under the cost-of-living adjustment.
For a full break down of the changes made by the IRS for benefit account contributions, see the full details here.
HSA Limits were previously announced earlier in the year. Find them HERE.
